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Dec 31, 2024

Veralto Q4 2024 Earnings Report

Reported fourth quarter results, marked by sales increase and core sales growth.

Key Takeaways

Veralto reported a 4.4% increase in sales to $1,345 million, with non-GAAP core sales growth of 4.6%. The company's net earnings were $227 million, or $0.91 per diluted share, while non-GAAP adjusted net earnings reached $238 million, or $0.95 per diluted share. Operating cash flow was $285 million and non-GAAP free cash flow was $263 million.

Sales increased 4.4% year-over-year to $1,345 million, with non-GAAP core sales growth of 4.6%.

Operating profit margin was 22.9% and non-GAAP adjusted operating profit margin was 23.8%.

Net earnings were $227 million, or $0.91 per diluted common share.

Non-GAAP, adjusted net earnings were $238 million, or $0.95 per diluted common share.

Total Revenue
$1.35B
Previous year: $1.29B
+4.4%
EPS
$0.95
Previous year: $0.87
+9.2%
Core Sales Growth
4.6%
Previous year: 1.7%
+170.6%
Gross Profit
$801M
Previous year: $746M
+7.4%
Cash and Equivalents
$1.1B
Previous year: $762M
+44.5%
Free Cash Flow
$263M
Previous year: $241M
+9.1%
Total Assets
$6.41B
Previous year: $5.69B
+12.5%

Veralto

Veralto

Veralto Revenue by Segment

Forward Guidance

Veralto anticipates low-to-mid single digit core sales growth for the first quarter and full year 2025. The company projects an adjusted operating profit margin between 24.0% and 24.5% for Q1 2025, and expansion of 25 to 50 basis points for the full year. Adjusted diluted earnings per share are targeted in the range of $0.84 to $0.88 for Q1 and $3.60 to $3.70 for the full year, with free cash flow conversion between 90% and 100% of GAAP net earnings.

Positive Outlook

  • Targeting low-to-mid single digit core sales growth for full year 2025
  • Expecting another year of margin expansion.
  • Projecting strong cash generation.
  • Adjusted operating profit margin between 24.0% and 24.5% for Q1 2025
  • Free cash flow conversion in the range of 90% to 100% of GAAP net earnings.

Revenue & Expenses

Visualization of income flow from segment revenue to net income